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March 20, 2017 Filed Electronically Docket Management Systems U.S March 20, 2017 Filed Electronically Docket Management Systems U.S. Department of Transportation West Building, Ground Floor Room W12-140, Routing Symbol M-30 120 New Jersey Avenue SE, Washington, DC 20590 Elaine Chao, Secretary, United States Department of Transportation Howard McMillan, Executive Director, Pipeline and Hazardous Materials Safety Administration Re: Docket No. PHMSA-2016-0077 Pipeline and Hazardous Materials Safety Administration Hazardous Materials: Volatility of Unrefined Petroleum Products and Class 3 Materials Dear Secretary Chao and Executive Director McMillan: The following constitutes our comments on the above-referenced Advance Notice of Proposed Rulemaking issued on January 18, 2017 (―ANPRM‖). The ANPRM requests input on whether the Pipeline and Hazardous Materials Safety Administration (―PHMSA‖) should revise its regulations to establish vapor pressure limits for unrefined petroleum based products, and potentially all Class 3 flammable liquid hazardous materials, that would apply during the transportation of the products or materials by any mode.1 Scenic Hudson’s Interest Scenic Hudson works to protect and restore the Hudson River as an irreplaceable national treasure and a vital resource for residents and visitors. A crusader for the valley since 1963, today Scenic Hudson is the largest environmental group focused on the Hudson River Valley. Scenic Hudson combines land conservation, support for agriculture, citizen-based advocacy and sophisticated planning tools to create environmentally healthy communities, champion smart 1 82 Fed. Reg. 5499, available at: https://www.federalregister.gov/documents/2017/01/18/2017-00913/hazardous- materials-volatility-of-unrefined-petroleum-products-and-class-3-materials. economic growth, open up riverfronts to the public and preserve the valley‘s inspiring beauty and natural resources. We urge PHMSA to move forward with the proposed rulemaking, especially regarding the transport of unrefined petroleum based products by any mode. The Hudson Valley in New York State has become a multi-modal ―superhighway‖ for transport of highly volatile Bakken crude oil. Trains to and from oil terminals in Albany, NY, travel next to drinking water supplies, over vital tributaries and down the length of the west side of the Hudson, threatening densely populated commercial and residential areas, parks, public access points, and historical and cultural resources, as well as significant environmental resources, putting at risk both human health and safety, and the ecological stability of the entire river system. As crude oil production in the Bakken shale region ramps up again, we can once again expect increased rail transport through the Hudson Valley, bringing with it increased risk of accidents. In addition, the lifting of the crude oil export ban is placing even more pressure on the system. The maritime industry has made a request of the United States Coast Guard (―USCG‖) for it to establish, by rulemaking, 10 new anchorage grounds for 43 new berths in anticipation of increased transport of domestic crude oil by vessel for export. And a third method of transport, pipeline, is also a possibility in the Hudson Valley – an applicant proposes a double petroleum pipeline to run over 170 miles between the Port of Albany and refineries in Linden New Jersey, carrying crude oil south and refined products north. The proposal would cut through 6 counties and 23 municipalities in New York, and occupy over 90 miles of the New York State Thruway, a roadway that saw almost 110,000,000 vehicle trips in 2016. The public health and safety in the communities of the Hudson Valley is at great risk from the transport of highly volatile Bakken crude oil, and under threat of even more. PHMSA has a statutory mandate to provide for the safe transportation of hazardous materials.2 For this reason, it must proceed with the proposed rulemaking. If the opportunity exists to reduce of harm that results from the inevitable accidents that will occur from the increased transport of domestic crude oil by reducing its volatility and explosiveness, it must be taken for PHMSA even begin to meet its mandate. There is too much at stake in the Hudson Valley, and in communities all across America, to allow vapor pressure to go unregulated. Industry cannot be allowed to shift the economic risk of catastrophe from shipment of crude oil onto the residents, visitors, and natural and cultural resources of the Hudson River Valley. 2 49 U.S.C. 5103(b)(1). 2 I. BAKKEN CRUDE OIL TRANSPORT PRESENTS A UNIQUE AND UNACCEPTABLE THREAT a. Bakken Crude is More Volatile than Most Other Types of Crude, Which Correlates to Increased Ignitability and Flammability Crude oil from the Bakken region of North Dakota presents a unique and significant threat when transported through communities on its way from the oil field to refineries. This became evident when domestic oil production from the Bakken region expanded exponentially beginning in 2011, leading to increasing need transport it from the Country‘s interior to refineries on the coasts, with rail transportation suddenly becoming the preferred method of transport because there was insufficient pipeline capacity.3 Unfortunately, the number of rail accidents rose exponentially along with this increased production and shipment of crude oil.4 The first (and worst) disaster came on July 6, 2013. 47 residents of Lac-Mégantic, Quebec, lost their lives when an unattended unit train full of Bakken crude rolled backwards down a hill toward the town, hitting speeds of 65 miles per hour and derailing, damaging the inadequate tank cars that held it so they released their cargo which resulted in huge explosions and subsequent fires, requiring the evacuation of 2,000 people and devastating nearly the entire downtown core.5 The harmful effects of this disaster have gone on ever since. Two years later, there was a still a ―pile of toxic dirt‖ where the center of the town used to be, and residents suffering a psychological toll were experiencing substance abuse and mental health issues.6 Three years later, the area was still a gated-off construction site, as the town leadership continued to struggle with how to move forward but still hold on to the past.7 In response, on September 6, 2013, PHMSA issued an Advance Notice of Proposed Rulemaking to amend the Hazardous Materials Regulations (―HMR‖) ―to improve the regulations applicable to the transportation of hazardous materials by rail.‖8 It also launched Operation Classification, a sampling and testing program for volatile crude oil. Despite numerous emergency orders, safety advisories, and adoption of new industry safety practices, the rail accidents, explosions and fires continued: 3 See Final Regulatory Impact Analysis, (―Final RIA‖), p. 16, available at: https://www.regulations.gov/document?D=PHMSA-2012-0082-3442. 4 Final RIA, p. 18. 5 Lac Megantic Runaway Train and Derailment Investigation Summary, available at: http://www.tsb.gc.ca/eng/rapports-reports/rail/2013/r13d0054/r13d0054-r-es.asp. 6 Two years after oil train disaster, profound scars remain in Lac Megantic, July 6, 2015, available at: http://www.commondreams.org/news/2015/07/06/two-years-after-oil-train-disaster-profound-scars-remain-lac- megantic. 7 Lac Megantic: rebuilding a town and a community, July 4, 2016, available at: http://montrealgazette.com/news/quebec/lac-megantic-rebuilding-process-underway-three-years-after-fatal- derailment. 8 78 Fed. Reg. 54849, available at: https://www.gpo.gov/fdsys/granule/FR-2013-09-06/2013-21621. 3 Aliceville, Alabama, November 8, 2013: Twenty-five of a train's 90 cars derailed near a 60-foot-long wooden trestle in the early hours of the morning, and a number were still on fire 18 hours later, sending flames hundreds of feet high that could be seen from over 10 miles away.9 Casselton, North Dakota:, December 30, 2013: A BNSF train carrying crude oil in North Dakota collided with another train, setting off a series of explosions that left at least 10 cars ablaze. Local residents heard five powerful explosions just a mile outside of the small town of Casselton after a westbound train carrying soybeans derailed, and an eastbound 104-car train hauling crude oil ran into it.10 Plaster Rock, New Brunswick, January 8, 2014: A train hauling crude oil and propane derailed in northwestern New Brunswick, causing a massive fire and resulting in evacuations of over 50 homes in the area. Health officials cited and concerns that the fire could affect air quality east of the derailment and those most vulnerable, including infants, children, older adults and people with chronic heart or lung diseases, were advised to stay indoors.11 Lynchburg, Virginia, April 30, 2014: A CSX Corp train carrying crude oil derailed and burst into flames in downtown Lynchburg, Virginia, spilling oil into the James River and forcing hundreds to evacuate.12 On August 1, 2014, PHMSA issued a Notice of Proposed Rulemaking (―NPRM‖) that proposed: 1) new operational requirements; 2) improvements in tank car standards; and 3) bolstered requirements for offerors to ensure proper classification and characterization of unrefined petroleum-based products, designed to ―lessen the frequency and consequences of train accidents involving HHFTs.‖13 As PHMSA acknowledges in the NPRM, ―transporting crude oil can be dangerous if the crude oil is released into the environment because of its flammability. This risk of ignition is compounded in the context of rail transportation of crude oil. It is commonly shipped in [unit trains] that may consist of over 100 loaded tank cars, and there appear to be uniquely hazardous characteristics of crude oil.‖14 9 Crude oil tank cars ablaze after train derails in Alabama, available at: http://www.reuters.com/article/us-crude- train-explosion-idUSBRE9A70Q920131109. 10 Train collision in North Dakota sets oil rail cars ablaze, available at: http://www.reuters.com/article/us- northdakota-collision-idUSBRE9BT0OV20131230.
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